<p>if I turn 18 in about 3 weeks..should I</p>
<p>a) apply now and will the credit card company pass that
b) wait till I am 18 and then apply</p>
<p>Wait until you're 18.</p>
<p>unless mommy and daddy is paying for your card, why not get a debit card? Much less hassle</p>
<p>Because credit cards build up your credit rating much more than a debit card will. Also, it's pretty annoying when a cashier insists you use the card as an ATM card instead of a credit card, so you wind up getting nailed with transaction fees.</p>
<p>first of all, thats not true... second, the amount of credit a credit card builds is quite minimal. You are also paying more due to interest, I don't see much benefit. You don't pay transaction fees when purchasing something with a debit card.....?</p>
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first of all, thats not true... second, the amount of credit a credit card builds is quite minimal. You are also paying more due to interest, I don't see much benefit. You don't pay transaction fees when purchasing something with a debit card.....?
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<p>As you know from the “things to know” thread, I’m pretty biased in favor of credit cards.</p>
<p>A debit card doesn’t have any effect on credit history; it’s a plastic checkbook, so no line of credit is involved. By contrast, a credit card has a direct effect on credit history, and this effect can be either positive or negative.</p>
<p>Basically, the way to improve credit is to use credit. A card isn’t the only route; auto loans and mortgages are also lines of credit. In fact, successfully paying off auto loans and mortgages gives big boosts to one’s credit history. But, how many college students actually take out either auto loans or mortgages while in college? I would think the number is low. So, those aren’t viable options for us students seeking a good credit history. A card, however, is. “Quite minimal” is better than “nothing.” Ceteris paribus, a person with “quite minimal” credit history will get a better auto loan rate than a person with no credit history.</p>
<p>You only pay more with a credit card if you pay late. Paying on time is cheaper. Just think about time value of money; all else equal, paying later is less expensive than paying now. I admit that it takes a responsible person for this aspect of credit cards to apply, as many irresponsible people find themselves ankle-deep in debt very quickly. If one follows the same rule for credit cards as he would with a debit card, that is, don’t buy what you can’t pay for, then I see no reason why he would have any problems.</p>
<p>I agree with Fabrizio. I have never paid interest or fees on my credit cards because I pay off the full balance of the bill, I pay on time (early, actually), and I don't have any credit cards with annual fees.</p>
<p>I got my first credit card when I opened up my student bank account when I started college at age 18. I wish I had done what my sweetheart did and open a joint child-parent credit card earlier in my life. He and I are equally responsible, but he has better credit because he has been building his credit history report for years longer.</p>